Head-To-Head Contrast: Ducommun (DCO) versus Its Rivals

Ducommun (NYSE:DCO) is one of 229 publicly-traded companies in the “Aerospace & Defense” industry, but how does it contrast to its competitors? We will compare Ducommun to similar businesses based on the strength of its valuation, earnings, analyst recommendations, institutional ownership, dividends, risk and profitability.

Institutional & Insider Ownership

92.2% of Ducommun shares are owned by institutional investors. Comparatively, 49.5% of shares of all “Aerospace & Defense” companies are owned by institutional investors. 5.0% of Ducommun shares are owned by insiders. Comparatively, 11.8% of shares of all “Aerospace & Defense” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Risk and Volatility

Ducommun has a beta of 1.11, suggesting that its stock price is 11% more volatile than the S&P 500. Comparatively, Ducommun’s competitors have a beta of 1.31, suggesting that their average stock price is 31% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and price targets for Ducommun and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ducommun	0	3	5	0	2.62
Ducommun Competitors	2157	8270	12791	581	2.50

Ducommun currently has a consensus target price of $196.67, indicating a potential upside of 31.79%. As a group, “Aerospace & Defense” companies have a potential upside of 26.84%. Given Ducommun’s stronger consensus rating and higher possible upside, analysts clearly believe Ducommun is more favorable than its competitors.

Profitability

This table compares Ducommun and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ducommun	5.89%	9.52%	5.37%
Ducommun Competitors	-348.96%	-46.51%	-4.31%

Earnings & Valuation

This table compares Ducommun and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Ducommun	$824.73 million	-$37.35 million	44.95
Ducommun Competitors	$8.44 billion	$569.54 million	25.72

Ducommun’s competitors have higher revenue and earnings than Ducommun. Ducommun is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Summary

Ducommun beats its competitors on 8 of the 13 factors compared.

About Ducommun

Ducommun Inc. is a provider of engineering and manufacturing services for the aerospace, defense and industrial markets. Founded in 1849 in Los Angeles, the company began as a hardware business before expanding into manufacturing components for aerospace and defense applications. Ducommun operates through its Electronic Systems and Structural Systems businesses. Its products and services include electronic and electromechanical assemblies, circuit-card assemblies, interconnect systems, precision-machined parts, structural components and composite assemblies.